Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1887-04-16
TREASURY SURPLUS.
SENATOR ALLISON GIVES HIS VIEWS ON
THE QUESTION.
Congress Should Meet in October to Consider
It-Somsthing About Parties and
Their 0utlOOk.

WASHINGTON, April 15.-In the course
of an interview to-day Senator Allison, Oh
Iowa, touched upon several topics OF spe-
cial interest to the commercial and fnan-
cial world.
what is likely to be the situation re-
specting the surplus, owing to failure to
reduce taxation at the last session. IN
quiren the interviewer.
Senator Allison replied: There VIII
probably be no considerable accumulation
of the surplus during the remainder OF this
fiscal year. The debt is reduced $l2, ,OOO,-
600 during the last month, and the money
in the Treasury increased about y, 2,OOO,-
900, so that at this rate, or any reasonable
approach to it, the redemption OF all
the three per cents will take place
between now and July l. After
that time there Will be a constant accumu-
latiOn of money in the Treasury over and
above current payments to the extent OF
from $500, 900 to $40, 900, 900 month un-
Til Congress either reduces taxes or makes
new and additional appropriations. IL
Congress does not convene until December
no tax reduction is probable before year
from next July-the result of which
would be an accumulation OF surplus IN
addition to that now in the Treasury oil
from $50, 900, 600 to 500, ,OO0, 900.
1T has been suggested that the Secre-
tary of the Treasury might utilize the Ma
tional Bank deposit for the deposit OF the
accumulatins surplus and that they In
turn could loan it, and thus keep the
money received from takes in the hands ot
the people"
81 have heard this proposition discussed
here and there" answered the Senator,
"but it does not seem to me feasible. III
might be done to some extent.
But 1T WOULD NOT BE WISE
to place large sums in this way with the
banks. They could not loan it for Dusl-
ness purposes without IN understanding
that it was to be called for by the Treasury.
Such an understanding would lead to ia.
yoritism and speculation. These National
repositories are established only to taclll-
tate Government collections and payments,
and not as favorites to loan public money.
With rare exceptions the money held by
these repositories has always been subject
to draft at any time and the deposits have
been made only upon the security of Gov
ernment bonds, so that this scheme or plan
is not practicable to any considerable eN-
tent in providing a method to keep in circu-
latiou money drawn into the Treasury by
taxation. The true method is to approprl-
ate reasonable sums for the purposes OF
government and then reduce the taxes so
that there will be no great surplus.
know of but one way of reducing this
amount-th is to 90 into the open mar
ket, and buy unmatured iUurs or four and
a-halfS, and pay the current premium for
them. The sinking fund will require for
the fiscal year 1888 about $40, 900, 900. If
this requirement is met that amount of
tours or four-and-a-haltS must be pur-
chased, and to that extent the surplus will
be reduced This the Secretary will do
ndOubtedly-tirst, because the law re-
quircs it, and second, because it will be
necessary in order TO avOld great strln-
ReuCN Ill Jlle llOney LntlI hSt'
AN EXTRA SESSION NECESSARY.
''Are you rightly reported as believing
that the President should call an extra
session before December, so as to give
Congress an opportunity of reducing
taxes"
81 think the President ought to convene
Congress Us early rs October, for the pur-
pose of considering the question. This
would, probably, by three months, hasten
change in our tax laws These changes
must originate in the House. Ii Congress
convenes in October it would continue in
session until December. The Speaker
could appoint the Committee on Ways and
Means early in October, and by the first of
January, in that event, q measure could he
matured and brought into the House, where
it could be considered and sent to the
Senate as early as March, and a bill could
thus pass both houses by May of next
year; whereas if all action is postponed
until the regular session in December, it is
not probable that any measure could pass
before August. Besides, at the regular
session appropriation bills would inter
vene and the excitement and disturbance
Ofa Presidential campaign would come in,
so that there would not then be that care
ful deliberation that would be had if Con-
gress should begin the work as early as
October of this year"
AN UNCERTAIN ELEMENT IN POLITICS.
What are the prospects for 1888, as re-
spects the success OF the Republicans or
Democrats ?"
at is too soon to judge with any degree
of accuracy at this time. The indications
are favorable to Republican success, but
some new elements are now appearing in
the elections which make any prophecy
now of little Yalge. ! think the Republ-
cans ought to succeed, because they can
administer the government more In accord
with the spirit of the times than our Op-
pOnents; but there is a strong element not
in accord with either party that, as they go
in 1888, may affect the result. If there
are only two tickets in the field, | would
have no doubt Of our success. If there
should be three OIL four, the result might
be changed. But have faith in our sue
cess because | believe we ought to succeed,
and also most, ii not all, present indica-
tions are in that direotiOn ~